Allan von Mehren, chief analyst at Danske Bank, points out that the USD sold off broadly after the Fed’s Bullard blinked late yesterday, when he argued a rate cut may be warranted soon.

“We have stressed numerous times  that a key driver for FX markets would be if the Fed started to acknowledge dovish market pricing. Bullard’s comment was a first step in that direction, but the market likely needs more confirmation (and at some point action) for further selling USD.”